The Ramsey Show - App - Prioritizing Life’s Biggest Purchases (Hour 1)

Episode Date: May 31, 2024

Live, this is the Ramsey Show. It's where we help you win in your life. Winning with your money, winning in your relationships, and winning at work. In other words, getting more income. 888-825-5225 is the phone number. 888-825-5225. I'm Ken Coleman, joined by the incomparable, the illustrious, George Campbell, ladies and gentlemen. I'm always impressed with your vocabulary, Ken, and your generosity.

It gives me a chance to really work on some new words, try to work in some old words. But we always love being together. It is a Friday, and I'll just tell you, I always have a little extra juice on a Friday. A little bit excited. Ken lets his hair down. Usually his hair's on a little man bun, but today

he has let it down. I have grown it out, but man bun's never happening. If you're not watching on YouTube, you're very confused. Is Ken a man bun guy? No. I know that Kelly, by the way, Kelly Daniel, the producer of the Dr. John Deloney show, is sitting in for James Childs all week, so she'd give her some love. Absolutely.

And I will tell you that Kelly and I have been working together for a long time, and she would rightfully punch me in the throat if I wore a man bun. Is that fair? That's the kind of friend Kelly has. I didn't want to misrepresent you. Yeah, definitely. That's why we love her. That's why we love her.

All right, to the phones we go. By the way, we're taking your money calls, and we'll take your income calls. So I'm the work guy, and so I'll chime in on the money calls, and George will chime in. But I'm here to help you make more money. By the way, George, when you make more money, guess what happens? You make more money? No. You get through the baby steps faster.

I should have got that. I thought that was low-hanging fruit for you. Everything's pretty high when you're my height, so thank you for that. That's true. And George is medicated today, so pray for George. I'm going to try to get his energy up. He's medicated today. He's not feeling well, so here we go. I'm here for you, America. Ready to take a call? Let's go. You got it? Yeah. You summoned the energy? I got it. All right. MJ starts us off in Baltimore, Maryland. MJ, how can we help? Yeah. Hi. Thanks for taking my call. My husband and I have been retired for a few years. He will be 70 this year. I'm 68. We want to buy a motor home for about $300,000. And we're not sure if that's the smart thing to do,

especially at our age. So I'd like to run my financials by you and see what your thoughts are. This is a fun game. Let's go, MJ. Roll it out for us. Okay. So with our retirement, we make about $14,000 a month income. We own our own home. It's probably worth $800,000 or $900,000. We have a condo, probably worth $300,000 or $400,000. That's paid for. Brand new truck, brand new camper, brand new car. No debt whatsoever. So just our normal monthly bills. So we have 1.7 million, but it's in tax deferred accounts. And we probably have about 150,000 in non-tax deferred accounts. So my question is, do you think we can afford it? Would it be smart at our age? And how do we get the money out of that tax deferred without having to spend all the money in taxes?

I got questions, George. Real quick. The motorhome is $300,000, huh? Brand new for this thing? Yeah. Brand new. It's? Yeah. Brand new. It's one of those big buses. Yeah, and do you rent this condo?

No, no, no. We own it. It's a second home. No, I don't rent it out. So life is good. You guys got one. You got the home, the condo. Now we need another gigantic home on wheels because life is just so fun,

and we need to get out there and travel some more. Is that what I'm hearing? We're retired. We worked hard all our lives. Hey, you're crushing it. No, listen, no judgment, MJ. You're crushing it. I mean, as you were laying out all your stats, I was like, hey, can George and I come visit? I mean, life is good for you guys. Hit the road with MJ. Way to go. Okay. All right. This retirement income, you guys are bringing in about $170,000. Is that consistent forever? Where is this coming from? Yeah, well, that's consistent forever.

Yeah. Is this like pension, Social Security? Where is this coming from? It's pensions and Social Security. So you don't even have to touch your actual nest egg. No. Well, we spend a lot of money traveling and eating out and that sort of thing. So have you been tapping into your retirement accounts thus far?

We have. We've probably taken about $20,000 out a year for the last couple of years. Okay, let me ask it this way, George. What's your burn rate? So I know you're bringing in $14,000 a month, but what are you spending per month? Probably about at least $10,000. $10,000 to $15,000, if my math is correct. Yeah. Okay. Well, here's the thing. Our parameters around this, you guys are obviously baby steps millionaires. You've done a great job. You have no debt. I love

that you've cashflowed all of these toys and you're right. Now is the time to enjoy it. The part that gives me pause is that you're buying a toy that is double your yearly income. And usually what we say around these toys, things with wheels and motors on them, which you've got plenty of, is that you don't want it to add up to more than half of your annual income because they go down in value. That $300,000 motorhome is going to be worth about $150,000 a few years from now. Yeah. So the question is, could you buy something cheaper?

That way you don't feel the hit as much, even though you guys will be okay. I'm not really worried about you guys running out of money in retirement. If you're burning $20,000 a year, that money's going to grow at a faster rate than you can burn it. Yeah. Yeah, we have a fifth-wheel motorhome, actually, that we could trade in and probably get about $50,000 for it.

What about this camper? Do you need the camper at that point if you have the motorhome? No, that's what I said. We could get rid of the camper. Oh, that's your fifth wheel. Yeah, the fifth wheel and get probably 50 grand for it. It's new. I'd like to come at this. George is right on the money side, but I want to kind of pipe in here on the practicality side here. Yeah. I mean, at your age, at least your husband's age,

you're younger. But I mean, what's that going to look like? Let's just say you went and bought this thing. How, how many weeks or months out of the year are you going to be driving around in this thing? Oh, I'm not sure. I can tell you we've taken trips to Florida. We're on a six week trip right now out to Yellowstone. So what does it cost to rent one of these, MJ? Have you looked into that? I got a better idea. If I'm your age, and again, maybe I'm lazy. I don't think I am. I work pretty hard.

I just am going to fly. At that age, I don't want to get behind the wheel of anything and drive anywhere. You know, I mean, you know. Ken will have a chauffeur taking him around the country if i do it right sure i wouldn't mind a driver that's not my point i i just think this is not a smart decision for all the reasons george gave you but i also just don't think it's very practical either like fly out to somewhere rent you know i wouldn't spend if here – here's where I'm going. You called and asked, so I don't know why I'm beating around the bush.

If I were your son, I would sit down with you guys and go, Mom and Dad, I think that's a total waste of money. You can spend a fraction of that flying in and out to these places, stay somewhere six weeks. To me, it's just the wrong allocation of funds. I don't think it affects your lifestyle of traveling. That's my whole point. I just think it's impractical. And's just not smart. I would go used if you're going to do it, but I'd rather you, you could spend 30 grand a year for 10 years to rent to

go on these trips and you would be a better bet. Yeah. So I would look into that and be more free and have more of your income at your disposal and not have $400,000 tied up in toys. That's one man's take. No, I'm with you. I just don't think it's practical. And here I am trying to give vacation advice, too. I mean, that's not what she asked for, but I just... Yeah.

Yeah. That's still a lot of your net worth and your life tied up in that thing going down in value. And that's the part that scares me. All right, coming up next, George and I accidentally ran into each other at a premium event in Nashville last night, and it was funny. We'll tell you about it next.

This is The Ramsey Show. Welcome back to The Ramsey Show. I'm Ken Coleman. George Campbell joins me this hour taking your calls to help you win in life. 888-825-5225. 888-825-5225. 888-825-5225.

So, quick story. It involves a haggle and a surprise. And that's always fun, you know? And so, we'll start with a surprise. I like it. Yesterday afternoon, my wife, she told me yesterday morning, hey, we're doing a fun date. It's an overnight date. And I said, really? And I said, on a school night? Yeah, on a school night. Well, we have, no, no, the three teens are out of school. Well, I mean that as in you got to work the next day.

Well, I wasn't sure. I didn't know if she cleared the decks for me or what, but it was just a quick overnight and it was downtown Nashville. So I said, oh, great. So I go home and she tells me where to go, the directions. I don't know where we're ending up. And so end up, we're downtown, a really, really great hotel that we love. One of our favorite places to have dinner. And I still don't know what the plan is. And as we're waiting to get our table, the maitre d' says, so you guys go into the Seinfeld concert? And I look at Stacey and I go, I don't know. And she's kind of doing this weird look.

And then this couple right next to us goes, are you guys going to Seinfeld too? And I'm looking at Stacey and she goes, yes, he wasn't supposed to know. So that's how I found out. Cat's out of the bag. Way to go, Stacey. I didn't know Seinfeld was in town.

You're so aloof. Well, no, I just, I don't pay attention to that stuff. So then I find, oh, that's great. So I show up and I see a couple of our co-workers there and they tell me, hey, George is coming. So I see you after the show and I find out that you used the haggle. I did. So Jade razzed me on the show on wednesday for this because she said george just go to the show spend the money on these stub hub tickets and pay whatever it costs which point in the story here stacy did that she paid the stuff it just breaks my heart my middle eastern ancestors are rolling in their grave for me paying you know the premium on these tickets so i didn't

ken what i did do and you guys can use this out there, America, I searched all over the internet. I literally would search on Facebook and go Seinfeld Nashville. And I found a few posts from random people that were selling tickets. And you have to vet these because there's a lot of scams out there. So be careful. Yeah. And you might get killed. That too. And I found a guy willing to sell them for face value. So I get a balcony nosebleed ticket for 86 bucks for this event that would have cost 500 on StubHub. I then sold that ticket to my buddy because I found another guy who had better seats,

but he was wanting 200 a piece. I went, listen, I love Seinfeld. Nothing is worth 200 bucks a piece. I'm going to be counting down like every minute he goes, I'm like, this is four bucks I just spent listening to this. You need to enjoy life more. I would say that. My wife tells me the same thing, Ken.

I would tell you that the ticket is worth what someone is willing to pay for it. And you, just because you aren't willing to pay for it, you can't make blanket statements to America and your position of influence. That's true. You're going to start throwing guilt around like it's candy. Well, I think there's people out there like me and there's people out there like you. Yeah, people like me who enjoy life and you can't take it with you and people like you bury money in your backyard in old coffee cans. Well, here's the end of the story. So I go, listen, I can't do 200 ticket. Max I could do is 100 a ticket. He goes, I can't do

that, but I'll do 120. Did you come back and go, best I can do is $112. It felt like I was on an episode of Pawn Stars. Let me tell you something. If I'd have been there, I'd have apologized to the guy. And I would have paid the difference to get you to shut up and get inside. I wore him down. It was last minute. I paid $120 for 11th Row Center. Those tickets on the ticket showed $200. So I felt real good about my situation.

But did you enjoy the concert? I did because I paid what I thought was a fair price. So it wouldn't have been as fun for you if you'd have paid full price for Jerry Seinfeld, a legend. 100% would not have been as fun. Did you laugh at all? You little miser you? I laughed.

I enjoyed it because I was doing a math. Did you laugh because you cut a good deal? I was going. Did you laugh because you haggled that guy into a bad deal or did you laugh because Jerry's funny? A little bit of both. Yeah. It wasn't a bad deal. He was, I didn't, you know, rob him blind.

He was willing. He had last minute tickets to get rid of. I think you manipulated him. But I didn't rob him blind. He was willing. He had last minute tickets to get rid of. I think you manipulated him. But I like the haggle. America needs more haggle. I feel like I won. So there's your lesson America. Haggle and also budget for spontaneous date nights even after how many years married?

26. That's how you keep it alive guys and gals out there. There it is. Alright so fun to see you by the way. It was really fun. Great to see you. We compared notes. He did a lot of new material fun to see you by the way it was really fun we compared notes he did a lot of new material about 20 minutes on marriage that was really funny great he still got it at 70 years old the guy's seven years talking about doing work you love he doesn't have to be doing that by the way i felt old kelly when i walked in the line because kelly and i are the same age i won't reveal that to honor and respect kelly but the people in the

line were really old. I did notice that. Did you notice that? I think I was the youngest person there. I said to Stacey Kelly, I was like, wow, I can't believe how many old people are in line. Then I was like, well, Jerry Seinfeld's 70. Yeah, I thought I was accidentally in the line

for Old Country Buffet. I went, is this the right venue? Is there another thing going on? It might have been a buffet line. It could have easily been confused as that. I thought afterwards we're all going to get blue jello at Luby's and call it a night. Now look who's doing

the Seinfeld lines. Way to go. Alright, 888-255-225. Enough about our boring social life. That was an exciting night for me. Not an average Thursday night. That was the most social thing I've done in a long time. Damari is joining us now in Jacksonville, Florida.

Damari, how can we help? Howdy, howdy. How y'all guys doing? Well, we're having a blast. What's going on with you? I'm pretty good. Actually, I'm at work now, but I wanted to ask. So I just started doing nursing, and I got out of school,

and I was just wondering, what do you guys recommend doing first, or you know like I have no debt I make around 55,000 a year I was just wondering should I look at buying a house or renting a house or should I get a car first or should I go back to school before I do anything at all how old are you'm 23. And what do you mean by going back to school? Like, do you want to progress in nursing and become like a nurse practitioner? Yes, for sure. Okay. So you're a young man. You're making your first real money.

I want you to, first of all, make sure that your debts are paid off. Do you have any consumer debt right now? No debt whatsoever. No debt. You got money in the bank? Savings? Not much, maybe a couple thousand dollars. Okay, so that's your next goal. That would put you in baby step three. So baby step two, pay off all the debt. Baby step three, save up three to six months of expenses.

Once you do that, then you can let go off the gas a little bit and enjoy, make some upgrades, pay for a used car in cash, begin investing 15% into retirement. That's when the time is to make those types of upgrades. Right now, you're trying to build a foundation. Yes, sir. So I'll wait on a house. Just rent for a while. Is it just you? Okay. You recommend renting? Yes. Well, I have a girlfriend, but she's trying to figure out what she wants to do as far as a career. So it's mainly me with the income, but I just was wondering if you guys recommend getting a house or renting or when to get a car, like I said. I would pause on that because you still need money to buy a house.

You need a big down payment. You got to have the emergency fund. I want you investing. And so I think we pause on the dream of home ownership, and you're super young. If you do this five years from now, you're going to live to tell the tale. What's the cost of the nurse practitioner, the next level of education? What's that going to cost you? The school that I'm looking at is there. I would definitely probably have to take out loans. No.

Whoa, whoa, whoa. How about we just answer the question first? How much is it going to cost? Anywhere between $15,000 and $20,000. All right. So add the $15,000 to $20,000, George, into the process there that you just laid out for him because we want you saving that up so that there is no debt. And by the way, single guy making $55,000, saving $15,000 to $20,000 is not going to take as long as you think.

And boy, oh boy, is it going to feel good to not have to owe anything when you get out of nurse practitioner school. Do you understand that? Yes, sir. That's the goal, man. So, Damari, get this in your head. Debt is not an option. If debt was not an option, what would you do? You would just go and save up $20,000 and you do the math as to how much you need to save a month to get there, right? You can cash flow this. You're a bright dude with no debt. So your income is now at your disposal.

Making 55, you can save 10 or 15 in a year. So once you have an emergency fund, you have the money to do this program debt-free, that's the time to do it. And then home ownership will come down the line. Okay. Good job. You don't seem excited about it, but I'm going to tell you something. You'll be excited if you do what we tell you to do, because on the backside of this is freedom

to live the life you want to live. Hey, I want to do this for you, Damari. Let's give him the Get Clear Assessment and the book, Find the Work You're Wired to Do for his girlfriend. Let's see if we can get girlfriend some clarity going forward, get her rocking and rolling, then put a ring on it, Damari. And let's get some double income going in there and keep rolling with the plan. Then we can work on that house together. There we go. We can save up a down payment really nicely once she's rocking and rolling.

All right, folks, don't move. He's George Camel. I'm Ken Coleman, and you're listening to The Ramsey Show. Be right back. Welcome back to The Ramsey Show. I'm Ken Coleman. George Camel is with me. I almost said Clooney.

That would have been very kind of you. I don't know why that happened. I would have taken Foreman, Lopez, Costanza, Washington, but thank you for choosing Clooney. Yeah, well, no, I didn't. It almost, I just went, and I was like, what is happening here? Hey, listen, you know what today is, George? Today's a big day. Do you know what today is? It's May 31st by my count. That's right, but it's also the last day for the big 20% off discount at ramseysolutions.com, the big store, right? Oh, my goodness. You got number one bestsellers like Baby Step Millionaires for under $16.

Let's not forget my book because my kids need food. From Paycheck to Purpose, under $16. I've got a kid going to college, so, you know, think of me when you go to the store. Think of Ken. Think of me. You know, just do me a little favor there. You what i mean daddy needs a new pair of shoes too you know so gosh i'm groveling i gotta fund me as 529 still ken let's jump in here george's uh well your your book's not uh because it's brand new we're like we can't discount this yet all right

but next year next year you have to look forward to may that your book will be on a steep discount i can't wait. It'll be $4. There he is. It really is. So, hey, the point is, really great deals. And we know one thing. You people that listen and watch.

That's right. And you people in the lobby. But we've got a great looking group of people out there. Yeah, I feel like when you say you people, it's a little bit demeaning. But these are wonderful, sweet people. There's nothing demeaning about the people. I am a man of the people. But when you say you people, it's got's got a tone oh you people like a good deal

is there anything wrong with that tone nobody's offended at all in the lobby george so the point is we know you like a good deal you you know i love a good deal and so now is the time the sale ends tonight may 31st if you're listening watching a little bit later in the day, you've got to be looking at the old clock there, 1159. When midnight strikes, Ken turns into a pumpkin, and the sale is over. And the sale is over. So go check it out, RamseySolutions.com slash store, RamseySolutions.com slash store. Lyra is going to join us in Cleveland, Ohio. Lyra, how can we help?

Hi. Thank you so much for taking my call. You bet. So me and my husband, we're on baby step two. We're trying to pay down our debt and hopefully get into a new house in the next year or two. But we kind of run into a bit of trouble.

We both have our primary jobs and we've been trying to each take on a second job. But, um, our first jobs are both giving us some trouble. Um, like I work in healthcare and it's kind of, you know, called moonlighting. Like it's a big, like they really frown on it. They don't want me to work a second job but like i've got debt to pay down and my husband is working real estate on the side and when he's on his lunch break taking real estate calls his boss is like in the corner of the cafeteria stalking him golly wow we've got a very interesting situation so i think we you know there's no conflict of interest in either one of these side hustles yes or no is there some sort of real true conflict

no um i guess my question is how can i approach or um work with employers like do you have any advice for employers i have one i do i do but i have one more question and then george if you need a fact find here so you're a nurse um actually i work in medical coding okay great i'm sorry i i i was jumping ahead so you're in medical coding and and and what are you doing for the side hustle? A second coding position, but just a different shift. For another company? Yep. I love that you're giggling like you're getting away with something.

I'll address that in a second. This is so funny. Okay, and your husband does what? What is his job? He works in IT. And he's selling real estate in the morning, early, at lunch, on his lunch break, and then after hours. Oh, yeah, because he works 9 to 5, and most people do, too. Okay, so here's the deal.

You guys just have, it feels like, maybe some unhealthy leaders, but you guys just need to shut your mouth. I feel like you're talking too much or being a little too obvious. I wouldn't be doing real estate calls in the cafeteria. First of all, you're not doing anything wrong. It's his lunch hour. Yeah. So let's just be clear. You're not doing anything wrong, so I don't want the audience to think,

oh, Ken's giving somebody advice on how to sneak around. No, but let's also have some common sense. And if the boss is stalking him and doesn't like the fact that he's got another job, first of all, it's on his lunch hour. So if I'm hearing the truth and we're not stealing from the company, then go out in the car, turn the air conditioning on, or go drive somewhere and sit in the parking lot of Chick-fil-A, for crying out loud, or whoever, and make your calls.

So it's nobody's business. So stop talking about it and go do it you you have the right to work as many jobs as you want to now there's a thing going on george in america today where people are working two full-time jobs i call that professional polygamy that's not okay all right but that's not what we're talking about lyra am i right yeah this part's fine well the point is is just go i'm i'm this isn't affecting my job at all and just make it a non-issue stop talking about it they don't have to like it they're not breaking any you know moral codes you didn't sign a contract saying that you couldn't do this. So unless you're actually violating a company policy, it's really none of their business.

Okay. So just be quiet about it. Just move forward with confidence. Yeah. I don't know what my coworkers are doing at lunch. Some of them do side hustles. They're doing some video editing or designing something or doing real estate. I mean, and we're all okay with that as long as you're not infringing on the normal work hours. It's not, unless your work. Unless your work is hurting because of it, that's when a leader would get involved and say, hey, listen, you're not performing your KRA very well. What's going on? Yeah, but this is not happening, right, Lyra? We've got all the facts.

Yeah, we're not stealing from company time. Yeah, you know what? Here's what I've learned, and I learned this the hard way. You know, some people can get real catty. They can get real nasty when somebody's trying to make their own life better and their life sucks. And it feels like you've probably just been normal and kind of shared what you're doing.

And then other people are like, did you know what Lyra's doing? She's working another medical cooning job while they're smoking cigs on the back dock. Am I right? Okay then. So what we do is we don't hang around vultures. And it sounds like you got some vultures in there. And all vultures do is fly around looking for some dead carcass to pick to death. And they're just nasty people. And I think you've got some nastiness around you. And so what you're doing to remove the debt from your life is awesome.

It's going to make your life better. I'd start hanging around better people. And if your coworkers are like that, this is a message for everybody listening and watching today. Stop talking to people that are negative and nasty and backbiting. Just ignore them. Just ignore them altogether. If they've got a problem with you working a second or third job to get out of debt, that's a sign that you shouldn't be talking to them anyway because they're losers. And I'm just being honest today. There are winners, George, in life, and there are losers.

You looked at me directly when you said the loser part. I just wanted to call that out. I'm kidding. But the other piece of this, Lyra, of the financial aspect is, I think you guys may be doing some things out of order. You're saying, I'm trying to save for a house. Really, you need to knock out the debt first, then get a fully funded emergency fund, then you can begin the process of saving up for that down payment. And I love the intensity that you have to do that, but we just need to make sure we have our ducks in a row here before we try to do seven things at once and do them poorly. Yeah. I want to go back into something, George, because I don't want to miss the psychology that is so powerful from the people that we spend a lot of time with. And the audience in this show is trying to do something radically different, right? It's weird. And weirdness tends to get

some, a lot of comments. So even on your own journey, I mean, you know, I just want your take here. What's the key? What's the mindset key when you're trying to take on a journey like this? You're like, I'm not doing anything wrong. I'm just getting a second job and my boss is stalking me. Yeah. I mean, I did many side hustles when I was trying to get out of debt or save for a house, whatever it was, while I was at Ramsey. And I would go home, and I'd just get to work, and I'd shut up. I didn't need to talk to the co-workers about it. If they were, you know, if they were

a friend, I'd tell them. But there's another great resource, Ken. I just uploaded a video today on 20 side hustles, and I ranked them with an S tier. So A through F, S is the best for some reason. So go check that out on my YouTube channel, George Camel on YouTube. George Camel on YouTube, 20 best side hustlers. You're looking for, you know, I rank them.

I tell you how much you can make, the pros, the cons, who this might make sense for. Oh, boy. So go check that out if you're inquisitive. Yeah, listen. You want to make some more money. Come on. Let's go. I love that.

Go check it out. All right. Quick break. Speaking of money, we've got to make some money. We'll be right back to help you make some more money. This is The Ramsey Show. The Ramsey Show continues on. Thrilled that you're with us.

I'm Ken Coleman. George Campbell joins me. We're here to answer your questions about your money, your income, what's going on in the world of work so you can make more money, and then your relationships. 888-825-5225 is the number. Let's go to Rochester, New York. Kaylee is joining us there. Kaylee, how can we help? Hi. Yeah, can you hear me? I can, loud and clear. What's going on? Okay, perfect. Yeah, so I'm calling because I have a dilemma.

My coworker accidentally backed into my car earlier this week, and she's wanting to not go through insurance and just pay out of pocket so that she doesn't have to have her rates go up. But I'm feeling nervous about that, and I just kind of wanted to talk it out. How well do you know this co-worker? Pretty well. I've been to her house, and I know a bit of her financial situation, too, so that's like a layer as well. Do you guys like each other?

Oh, yeah. Yeah, I like her. There's a reason. I got an angle, George. But I'm going to let you walk through this financial issue. Let do some fact finding. How bad is the damage? So I got three different quotes and they ranged from $1,500 to $3,600. Whoa, this is a pretty serious situation. She was in a hurry. This is not a dent. Yeah. Yeah. It's a big dent. Yeah. Okay. So let's put it on the high end. Let's say it's $3,600. She's saying, I'd rather pay you the $3,600 than go through insurance.

Does she have the money to pay for it up front? No. Yeah, so no. So when I came back with those amounts that I got for myself, she said, wow, are they trying to repair the whole car? And I was like, no, it's just for the dent. And then she said I found someone who would do it for less than a thousand. No, I'm not going to let Uncle Ricky Bobby handle this. We're going to go through a professional route.

Yeah, she doesn't get to choose the person. And she doesn't even have the money to cover the repair. Well, yeah, so that's like one of the dilemmas is like, because I do know her, I know her financial situation. She's a single mom and there's just a lot of complex things going on in her life, again, because I know her. But I worry that if I did let her go and pay me on the side, what if I have to kind of count her for the money or something like that? Yeah, that's not an option. Trying to be nice is going to rain drama on your life.

And that is not worth it for you. Don't take on that burden because you want to be a sweet person, which I can tell that you are because you're calling in, you're toiling over this dilemma. And I just think the long-term implications of what this could be and how it's going to hurt the relationship is going to be worse if you let her go through this weird process. Weird question, George.

Maybe it's not a weird question. Do you have an opinion here or some actual knowledge on if this coworker actually filed with her insurance and said, I backed into my coworker here. It feels like whatever bump in insurance could be less. If she has a good driving record, I just wonder if it's... Oh, she doesn't. Oh, no. Because you know what I was thinking? She told me... She doesn't. Oh, she doesn't. Oh, no.

Because you know what I was thinking? She told me... Oh, sorry. Go ahead. Well, Kaylee, what I was wondering is, is it going to be less money out of pocket for her even with the insurance hit than paying you? Let's say it's $3,600. Well, let's say the bump was $200.

Now, that's ongoing for a while until her insurance bumps back down after a clean driving record. But I don't think her terrible driving record has anything to do with you. Again, not your fault. Yeah, you've got to protect yourself in the situation, and I don't think that makes you a worse person. And she doesn't have the money. Yeah.

So that puts you in a collection situation. Her premium is $350. Oh, sorry. No, go ahead. Her premium is $350 a month. Already. Four grand a year for one car. Yeah. She's also nervous too because she has a side job too and she has to drive for it and she's

worried that like if she has another mark on her record that she might lose that side job. There's just like a lot of layers here, obviously. Yes, I understand it's complicated and this is going to affect her life in some way. I still would file a claim through your insurance because it's going to be really tough to get insurance involved later. And all you have at this point is her word that she'll pay. And we don't even know that she'll pay because she's going to say, well, since this guy can do it for $300, I'm only going to pay you $300. And it's on you if you want to go get it done somewhere else. I'm not okay with that. Either way, this relationship is going to be strained from here on out yeah but i'd rather you not take on the drama just to be a sweet person

well thank you very much i forgot since yes that's kind of where my husband and i have landed too it stinks i mean i hate that but my goodness i what i don't understand is why her side job would be in danger i don't get that part well maybe there's a insurance your driving record affects these side jobs and if you have a certain number of dings you can't you know drive for uber i don't know how oh i see the back end works okay i got you all right well tough situation it's kind of like if someone committed a crime for the fifth time and now like, hey, they could have probation because of this. That's not your fault. They backed into you.

I want you to protect your finances and she will survive this. She survived it already with her terrible driving record. So hopefully she has learned a lesson. Drive safe out there. If I ever back into Ken's car, it's going to be a situation. I promise you, I will drive to your insurance agent myself with the pictures. I'm not even leaving it up to you, Mr. Cheapskate,

because you're the guy that's going to go try to get Uncle Larry Bobby. Watch your words. America heard how you haggled the poor guy last night for a Seinfeld ticket. That's called resourcefulness, Ken. I can't imagine what you'd do to a body shop guy. I rarely have darkened the doors of a body shop. Rarely. Although I do park next to dave ramsey which frightens me well because his giant truck could roll right over

your little electric yeah hot wheels and as great of a driver you wouldn't even know it he doesn't always park in the lines that's all i'm gonna say i'm gonna be honest with you america needs to know this i have ridden in in Dave's truck many times. I'm not going to say that he's a good driver. I had to get a ladder to climb into that thing. Is Dave fast? He's fast. Good?

It's hard to have good and fast. You've got to choose one or the other, and Dave likes to get from point A to B quickly. That's all I'm going to say. Glad for the really nice restraining system that they call seat belts. It can get a little hairy in there sometimes. George, can we get to Kimberly real quick? Yeah, we can do this. Let's go to Kimberly in Knoxville, Tennessee.

Kimberly, how can we help? Hey, guys. Thanks for taking my call. I really appreciate it. I will start out by saying that we are a large family. My husband and I, we have nine children. And about a year ago, we moved from Michigan. We sold our home and property there and we moved to the Knoxville

area. We have been renting a home for our size family. It's $3,000 a month. It's just for a basic, basic home, nothing fancy. And our lease is up in the end of August. Our church offered us this financial freedom. We started about five weeks ago, and we are 100% in. In the last four weeks, we've liquidated everything we could, and we've paid off a little over $40,000 worth of debt. We have about $19,000 left, and we will have that paid off in December, January at the absolute latest. And the other thing that you might need to know is that we are expecting a settlement from a car accident by the end of the year, early next year, that is going to be between $75,000 and $120,000. So our question is, because our lease is up in August, we are looking to either buy a property and build a home or to purchase a home that's already built. And I know based on just

listening to the show that generally his advice is to save up the three to six months, you know, savings and then to save up for the 20% down. I guess I'm asking because in our situation with a large family, with rent being so expensive, we do have a good income. What is your income? And that's projected to be debt-free. We make $150,000, between $150,000 and $170,000. Okay.

So the question is, once the lease is up, can you go ahead and get the house, or do we need to wait? Yes, and the reason I'm asking is because we do qualify for a rural development loan on the land that we would be looking at, which is 1% down. No, that's not a blessing in your life. Taking on 99% as a mortgage is not a blessing in anyone's life. So here's what you should do. We still did a 15-year mortgage on that. Don't fall for any of these programs.

Go slow. I would just buy an existing home because you're going to have this massive project with nine kids while trying to pay rent that you're trying to cash flow. So I would just buy an existing home. And if that means you've got to rent this place for another year at $3,000, that's okay. You guys are making $14,000 a month. So it stinks to pay this high rent.

It's probably going to turn into $3,000 in a mortgage anyways on on a 15 year with the rate. So I wouldn't worry about that. Get the debt paid off, get the emergency fund, then save up the down payment, buy the house a year and a half from now. You'll be all right. Yes. Be patient. It's so hard, but you got nine kids. You got to have patience figured out by now, I would think. Holy moly. So summon some of that. It's gotta be a bunk bed situation going on there. I'm exhausted just thinking of nine kids. This is the Ramsey Show. I'll see you next time.